State-run Karnataka Soaps and Detergents plans a new unit in North Karnataka to boost exports, expand capacity, and strengthen regional demand
Karnataka’s state-run Karnataka Soaps and Detergents, known for manufacturing the iconic Mysuru Sandal Soap, is set to expand its production footprint with a new facility in Vijayapura after receiving approval from the state cabinet. The proposed unit will involve an investment of Rs 227.91 crore and forms part of the company’s strategy to strengthen its export presence.
The public sector enterprise reported a turnover of Rs 2,016 crore and a net profit of Rs 507 crore in the last financial year, while total production stood at 47,494 tonnes.
Large and Medium Industries and District In-charge Minister MB Patil said that KSDL, which offers a portfolio of 94 products, continues to witness robust demand not only across North Karnataka but also in neighbouring states such as Telangana, Andhra Pradesh and Maharashtra. In response, the company will establish a new soap manufacturing unit over 50 acres in the Ittangihal Industrial Area of Vijayapura. The move is expected to boost industrial activity, create jobs and enhance the company’s regional market reach, he said.
Breaking down the Rs 227.91 crore investment, Rs 30 crore has been allocated for land acquisition, Rs 77.88 crore for construction of the facility, Rs 24 crore for infrastructure, Rs 70.80 crore for machinery, Rs 8.63 crore each for tender premium and contingencies, and Rs 7.97 crore for other expenses. The land cost has been pegged at Rs 59.30 lakh per acre, Patil added.
The plan to set up a KSDL production unit in North Karnataka has been under discussion for more than a year.
He added that several initiatives have been undertaken over the past three years to take the organisation to new heights, including efforts in branding, promotion, marketing, quality management, export operations, and ecommerce.
